Snowman Logistics Q1 net profit falls 47%, EBITDA down 4.7%; Stock ends 4.8% higher

For the quarter ended June 30, 2024, the company reported a 4.7% YoY decline in its earnings before interest, taxes, depreciation, and amortisation (EBITDA) to ₹24.21 crore.

Sunil Nair, chief executive officer and whole-time director of Snowman Logistics, said that the company’s projects in Lucknow and Kolkata are almost at a finishing stage and are expected to be functional in Q2 and Q3, respectively. He added that the company will be making 35 new trucks operational in Q3FY25.

Prem Kishan Dass Gupta, chairman of Snowman Logistics, stated the cold chain industry is gaining traction and the company is well-positioned to capitalise on the growing demand. He said that the company is in an expansion phase and will continue growing its warehouse network.

“The cold chain industry is gaining a lot of traction as customers are looking for organised players with high-quality infrastructure, and we are well positioned to capture this growth as is evidenced by the performance of the company,” he said.

The board of directors of Snowman Logistics recommended an interim dividend of ₹1 per equity share.

Snowman Logistics operates in the integrated temperature-controlled logistics services space and caters to various logistical requirements. The company has a total pallet capacity of 1,41,405 across 20 cities including Mumbai, Chennai, Bengaluru, and Kolkata. The company provides logistical solutions and services for dairy products, canned food, poultry, seafood, healthcare, and pharmaceutical items.

Shares of the company have risen by nearly 30% since the beginning of the year. The stock has gained over 67% in the past year.